Mr. Rockhill to Mr. Hay.
Peking, China, July 30, 1901.
Sir: In several dispatches I have referred to the subject of the creation of a river conservancy board at Shanghai, for the improvement of the navigation of the Whangpu River. I now have the honor to transmit a draft of an agreement, with annexed regulations, accepted by the diplomatic representatives and which will undoubtedly be agreed to by the Chinese plenipotentiaries. It is not yet decided whether this arrangement shall take the form of a separate instrument or be incorporated in the Final Protocol, the Russian minister having heretofore declared himself against any treaty or convention with China on any of the pending questions.
The main features of the agreement are the creation of an international conservancy board in which the Chinese Government and all the local interests of Shanghai are represented, and, secondly, the division of the expenses of the works between the Chinese Government and the foreign community of Shanghai in about equal shares.
The financial cooperation of the Chinese Government and the present consideration of this whole subject were secured by us as one of the conditions to our accepting an increase of the import tariff to 5 per cent effective.
The additional taxes on shipping, merchandise, and real estate in the foreign concessions and settlements at Shanghai meet with the approval of the General Chamber of Commerce and the consular corps, and can not be considered burdensome. I trust you will approve of my action in agreeing to these additional taxes, which seem to me highly proper in principle and will result in so great a benefit to Shanghai. It will doubtless be highly satisfactory to our Government to know that it has been able to bring about the settlement of this question, which for forty years has engrossed the attention of the foreign mercantile community of Shanghai.
I also inclose for your information (1) the minutes of the three first meetings of the subcommittee for considering the improvement of the Whangpu, (2) a note from Sir Robert Hart on the same subject, (3) a pamphlet said to have been written by Mr. Bredan, commissioner of customs at Shanghai, which gives the customs’ views on the conservancy scheme, (4) report on the water approaches to Shanghai, by J. De Rijke, a Danish engineer, and (5) a précis on the efforts heretofore made to have the Whangpu River conserved.1
In my dispatch No. 108 of June 6, 19012 I inclosed a pamphlet [Page 291] entitled “Notes of the proposed conservancy of the River Whangpoo at Shanghai,” which contains the scheme for the creation of a conservancy board; this was used by the subcommittee of the diplomatic corps as a basis for the convention and regulations.
I am, sir, etc.,